Factors to consider in macro analysis-fundamental analysis - Macro analysis

1. Macroeconomic operation analysis


The impact of macroeconomic operations on the securities market, and the ways of impact: company operating efficiency, residents' income level, investors' expectations of stock prices, and capital costs. The relationship between macroeconomic changes and securities market fluctuations: GDP changes (continuous, stable, and high-speed GDP growth, GDP growth under high inflation, decelerating GDP growth under macro-control, transitional GDP changes; economic cycle changes); currency changes (The impact of inflation on the stock market, the impact of deflation on the stock market).


2. Macroeconomic policy analysis

Fiscal policy: the means of fiscal policy and its impact on the securities market, the means of fiscal policy include: national budget, taxation, national debt, fiscal subsidies, fiscal management system, transfer payments; types and economic effects of fiscal policies and their effects on the securities market The impact of this includes: reducing taxes, lowering tax rates, expanding the scope of tax reductions and exemptions, expanding fiscal expenditures, increasing fiscal deficits, reducing the issuance of government bonds, and increasing fiscal subsidies; issues that should be paid attention to when analyzing the impact of fiscal policies on the securities market.

Monetary policy: monetary policy and its role; monetary policy tools, including: legal deposit reserve ratio, rediscount policy, open market operations, direct credit control, indirect credit guidance; the operation of monetary policy; the impact of monetary policy on the securities market, Including: interest rates, the influence of the central bank’s open market operations on securities prices, the influence of regulating money supply on the securities market, and the influence of selective monetary policy tools on the securities market.


3. Analysis of the international financial market environment

The international financial market turbulence affects the securities market through RMB exchange rate expectations; the international financial market turbulence indirectly affects my country's securities market through the macro and policy aspects.